Overview

• South African President Cyril Ramaphosa reportedly plans to offer Elon Musk a Starlink contract that bypasses the country’s Black Economic Empowerment (BEE) requirements.
• The BEE policy mandates 30% Black ownership or economic participation for businesses operating in South Africa, a rule Musk has criticized as ‘racist.’
• Musk’s framing of the BEE laws as racially discriminatory has drawn scrutiny, with his own AI chatbot previously attributing Starlink’s licensing issues to regulatory compliance, not race.
• The timing of the deal aligns with Ramaphosa’s upcoming meeting with U.S. President Donald Trump, fueling allegations of political maneuvering to curry favor with the Trump administration.
• Ramaphosa’s office has denied Trump’s claims of ‘white genocide’ in South Africa, adding another layer of tension to U.S.–South Africa relations as the Starlink deal garners international attention.